Top

Mercedes Fends off VW in Europe EV Market

  • Europe’s EV market grew 17% YoY in Q3 2022 despite an 8% overall passenger car sales decline.
  • Germany continued to lead the European EV market by taking a 33% share of the sales.
  • The top 10 EV models accounted for 27% of EV sales in Q3 2022.

New Delhi, London, Beijing, San Diego, Buenos Aires, Hong Kong, Seoul – December 20, 2022

Europe’s passenger electric vehicle (EV) sales* increased 17% YoY in Q3 2022, according to the latest research from Counterpoint’s Global Passenger Electric Vehicle Model Sales Tracker. Battery electric vehicles (BEVs) accounted for 61% of total EV sales during the quarter. Germany was the region’s largest market with a third of the total volume, followed by the UK and France.

Commenting on the market dynamics, Vice President of Research Peter Richardson said, “The overall European automotive market has declined for three quarters due to a mix of economic pressures and supply chain disruption. However, major European automotive-producing countries like Germany, UK, Italy and Spain have shown some growth in sales this quarter with EVs being a relative bright spot.”

Europe Top 5 EV Brands' Sales share_Counterpoint
Source: Global Passenger Electric Vehicle Model Sales Tracker, Q1 2018-Q3 2022

Market summary

Mercedes-Benz continued to lead Europe’s EV market with a 9.2% share in Q3 2022. BEVs accounted for 35% of its total EV sales with 75% YoY growth. Its plug-in hybrid EV (PHEV) models include the GLE-Class, GLC-Class and C-Class, while its top-selling BEV models are the EQB, EQA and EQC. Although Mercedes leads Europe’s EV sales, it has failed to find a place in the top 10 best-selling models list. Mercedes has 20 models to offer, the highest among all automakers, and most of them have a similar sales share of less than 1%.

Volkswagen took a sales hit in Q2, losing 44% of EV sales YoY. But its supply chain recovered in Q3, enough for it to surpass BMW to become the second largest EV brand with a market share of 8.9%. Its BEV model range is led by the ID series, which includes the ID.3, ID.4 and ID.5 models. It also significantly improved shipments of its PHEV models.

BMW slipped to the third position, taking 8.6% volume share. Its BEV range contributed to 45% of its EV sales. Its top-selling BEV model was the i3 followed by the i4 and iX. The X5 was its best-selling PHEV model, followed by the 3 series and X3.

Among other top-selling brands, Tesla significantly improved its sales from the previous quarter and broke into the top five brands list again. In September, the Model Y was the best-selling EV model in Europe, accounting for 70% of Tesla’s sales.

The top 10 EV models in Europe contributed to around 27% of the EV market in Q3 2022. Best-selling EVs in Q3 were the Tesla Model Y, Volkswagen ID.4 and Ford Kuga.

Europe Top 10 EV Models' Sales Share, Q3 2022_Counterpoint
Source: Global Passenger Electric Vehicle Model Sales Tracker, Q1 2018-Q3 2022

Commenting on the market outlook, Associate Director Mohit Agrawal said, “We expect the European EV market to remain just under 2.5 million unit sales in 2022. European governments are investing heavily in charging infrastructure, which is helping ease consumer anxiety about adopting EVs. This shift is evident in Counterpoint’s Global Passenger Vehicle Model Sales Tracker. Currently, luxury car brands like Mercedes and BMW are leading EV sales because of the combination of EV and PHEV offerings. But once the affordable mainstream European brands like Renault, Volkswagen and Peugeot strengthen their EV portfolios, we expect overall EV sales volumes to move sharply higher.”

*Sales here refer to wholesale figures, i.e. deliveries out of factories by respective brands/companies.

*The countries in this study include Austria, Belgium, Bulgaria, Croatia, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Romania, Russia, Slovakia, Slovenia, Spain, Sweden, Switzerland, UK and Ukraine.

*Under electric vehicles (EVs), we are considering only battery EVs (BEVs) and plug-in hybrid EVs (PHEVs). Hybrid EVs and fuel cell vehicles (FCVs) are not included in this study.

The comprehensive and in-depth ‘Global Passenger Electric Vehicle Model Sales Tracker: Q1 2018-Q3 2022’ is now available for purchase at report.counterpointresearch.com.

Feel free to reach us at press@counterpointresearch.com for questions regarding our latest research and insights.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the technology, media and telecom (TMT) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Soumen Mandal

Mohit Aggarwal

Peter Richardson

Counterpoint Research

press@counterpointresearch.com

Related Posts

 

European EV Market Grew 16% in Q2 2022 led by Mercedes

  • Mercedes-Benz overtook Volkswagen to become the top-selling EV brand in Europe.
  • Germany leads the European market with 28% market share.
  • The top 10 EV models accounted for almost one-fourth of EV sales in Q2 2022.

New Delhi, London, Beijing, San Diego, Buenos Aires, Hong Kong, Seoul – October 10, 2022

Europe’s passenger electric vehicle (EV) sales* increased 16% YoY in Q2 2022, according to the latest research from Counterpoint’s Global Passenger Electric Vehicle Model Sales Tracker. Battery electric vehicles (BEVs) accounted for 55% of total EV sales during the quarter. Germany, with a 28% share, remained the European EV market leader, followed by France with 16% and the UK with 14%. Among other European nations, Spain and the Netherlands were the fastest growing EV markets, nearly doubling their sales on a YoY basis. However, Norway had the highest EV sales penetration (85%) among European countries and also globally.

Commenting on the market dynamics, Vice President of Research Peter Richardson said, “Europe’s automotive market has been hit by a series of events. The supply chain disruption due to the Russia-Ukraine war had a serious negative impact. The supply crunch of vehicle wiring harnesses and other important components, together with a lack of critical raw materials, forced automakers across Europe, especially in Germany and the UK, to cut vehicle production for several weeks. Moreover, to show solidarity with Ukraine, most automakers halted their businesses in Russia, further hurting sales performance during Q2. Additionally, rising inflation and currency devaluations have pushed raw material costs higher.”

Market Summary

The top five brands accounted for only 36% of the total EV sales across Europe in Q2 2022. Europe is one of the most competitive EV markets where OEMs must fight hard for relatively small market shares. This ensures that most OEMs have similar market shares with a difference of only a few points.

Mercedes-Benz
Leading the pack, Mercedes-Benz accounted for around 9.2% of the total EV sales across Europe during the quarter. Last year, the company announced it would stop the development of internal combustion engines and strengthen its focus on electrification instead. Although the company had the highest number of EV sales across Europe, BEV sales accounted for only 28% of its total EV sales. The company’s present portfolio is strong. Its plug-in hybrid electric vehicle (PHEV) models include the GLC-Class, GLE-Class and C-Class, while its top-selling BEV models are the EQA, EQB, and EQE.

BMW
BMW, an early adopter of electrification, was the second-best selling EV brand in Europe in Q2 2022. BMW had a 9.1% share of the EV market in Europe during the period. The PHEV segment accounted for 71% of the company’s total EV sales. The BMW X series and the BMW 3 series cars dominated the PHEV segment, while the company’s i-Series models, namely the iX, i4 and i3, were the flagbearers of its BEV segment.

Volkswagen
Among European OEMs, Volkswagen was hurt the most from the Russia-Ukraine war. Supply chain disruptions and component shortages reduced the company’s sales by 44% YoY during Q2 2022. Volkswagen, one of the largest auto OEMs, was able to secure just 6.2% of Europe EV sales during the quarter. The company is betting on its ID series cars to dominate the EV market. Presently, 64% of EVs sold by Volkswagen are from the ID series alone.

Among other brands, Tesla’s performance fell short of expectations even though its Berlin Gigafactory started production in March 2022. Tesla sales in Europe fell 51% YoY during Q2 2022 mainly due to production halts at its China operations in April and May, stemming from supply issues and restrictions related to the pandemic. A major proportion of Tesla cars sold in Europe is imported from China.

Europe Top 5 EV Brands, Sales Share Q2 2022
Source: Global Passenger Electric Vehicle Model Sales Tracker: Q1 2018 – Q2 2022

Commenting on the EV ecosystem development, Research Vice President Neil Shah said, “Europe is one of the more mature EV markets. EV sales in Europe have gained traction, thus incentives and subsidies related to EV sales have reduced to almost nil in most European nations. Presently, Europe is looking to strengthen its charging infrastructure and battery recycling ecosystem. A strong charging infrastructure network is likely to boost EV penetration. Among European nations, the Netherlands has the highest density of EV charging stations. Alongside governments, private players, such as Webasto, Free2Move, EVBox, Shell and BP, are teaming up with OEMs to set up a network of charging stations across Europe.”

Shah added, “Apart from developing a strong network of charging stations, the rising demand for EVs is leading to the rise of battery recycling plants. Battery recycling plants are necessary to control e-waste and to recycle valuable metals that can be used in new batteries.”

Europe Top 10 EV Models' Sales Share, Q2 2022
Source: Global Passenger Electric Vehicle Model Sales Tracker: Q1 2018 – Q2 2022

The top 10 EV models in Europe contributed to around 23% of the EV market in Q2 2022. Bestsellers were the Fiat 500, followed by the Tesla Model Y and Peugeot 208. In the year-ago quarter, none of these EVs were among the top five. The change in the market was due to multiple production shutdowns and delays in shipments faced by OEMs. In 2021, the top-selling EV models were the Renault ZOE, Volkswagen ID.4 and Skoda Enyaq iV. In Q2 2022, eight out of the top 10 EV models sold in Europe were BEVs.

Commenting on the market outlook, Associate Director Mohit Agrawal said, “EV sales are expected to exceed 2.5 million units by the end of 2022, according to Counterpoint’s Global Passenger Vehicle Forecast. The market is expected to be slow due to component shortages, economic turmoil and geopolitical tensions. Still, one in every five cars sold in Europe will likely be an EV by the end of this year. In 2021, EV sales in Europe accounted for 15% of total passenger vehicle sales.”

 

*Sales here refer to wholesale figures, i.e. deliveries out of factories by respective brands/companies.

*Under electric vehicles (EVs), we are considering only battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs). Hybrid electric vehicles and fuel cell vehicles (FCVs) are not included in this study.

The comprehensive and in-depth ‘Global Electric Passenger Vehicle Sales Tracker, Q1 2018-Q2 2022’ is now available for purchase at report.counterpointresearch.com.

Feel free to reach us at press@counterpointresearch.com for questions regarding our latest research and insights.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the technology, media and telecom (TMT) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Soumen Mandal

 

Neil Shah

Peter Richardson

Counterpoint Research

press@counterpointresearch.com

 

Related Reports:

Tesla Misses Q1 2019 Expectations with Increasing Competition

The first quarter of 2019 was expected to be a tough one for Tesla. The cut in the US tax credit for Tesla cars from January 1, 2019, model upgrades, bottlenecks due to overseas deliveries affected the company’s performance.

The following are the key highlights from Tesla’s performance in Q1 2019:

  • The company reported a net loss of US$702 million and its cash and cash equivalents reduced by US$1.5 billion from Q4 2018, ending at US$2.2 billion.
  • Gross margins fell to 20.3% in Q1 2019 from 24.7% in Q4 2018, for the automotive segment.
  • Production and deliveries declined by 11% and 31% respectively, crossing 77,000 and 63,000 in Q1 2019
  • During Q1 2019, the company upgraded the Model S and X drivetrain and suspension, increasing their range. Moreover, these models will now be able to charge quickly supporting 200kW from V3 superchargers
  • The company plans to launch an in-house insurance product in May 2019, which would be ‘much more compelling’ for Tesla’s owners compared to third-party insurance.

Counterpoint’s View

  • According to Tesla, there were logistics and production bottlenecks while tackling the huge demand from overseas. This led to reduced deliveries. However, considering the decline in production and deliveries, one can infer stabilizing demand for Tesla cars with increases in electric vehicle offerings from other OEMs like GM and BMW.
  • The US$1.5 billion decline in cash and cash equivalent was mostly due to paying down debt, worth US$920 million, coupled with an increased number of vehicles in transit to customers at the end of Q1 2019.
  • Tesla’s in-house insurance product will lower insurance premiums on its cars, reducing the overall ownership costs. It will also open an additional revenue stream for the company, and develop another service in Tesla’s increasingly verticalized and service-oriented ecosystem.
  • The company will continue to benefit from its experience and will be re-using its developed platforms on the new models. For instance, the capital spends per unit capacity for the Model 3 factory in Shanghai is less than half that of the Fremont factory. Upgrades to the Model S and X reused the motors and associated technology from the Model 3 to increase vehicle range.

Expectations for Q2 2019

  • Due to logistics bottlenecks, the company delivered half of all Q1 deliveries during the last 10 days of the period. Car deliveries will improve in Q2, to an extent, with improving production and logistics learning curves, and in Q2 many unfulfilled Q1 orders will be realized. However, Tesla’s estimates of delivering 90,000-100,000 Model 3 in Q2 seems optimistic.
  • The sales also suffered due to the US tax credit cuts for Tesla cars to US$3,750 from US$7,500. The demand is expected to recover with car buyers eventually accepting the revised prices.

Gross margins are expected to fall during Q2 with an increasing share of lower-margin Model 3 in the sales mix. However, the upgraded Tesla Model S and Model X will help offset the downward pressure to an extent, during Q2.

Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited

Registration

In order to access Counterpoint Technology Market Research Limited (Company or We hereafter) Web sites, you may be asked to complete a registration form. You are required to provide contact information which is used to enhance the user experience and determine whether you are a paid subscriber or not.
Personal Information When you register on we ask you for personal information. We use this information to provide you with the best advice and highest-quality service as well as with offers that we think are relevant to you. We may also contact you regarding a Web site problem or other customer service-related issues. We do not sell, share or rent personal information about you collected on Company Web sites.

How to unsubscribe and Termination

You may request to terminate your account or unsubscribe to any email subscriptions or mailing lists at any time. In accessing and using this Website, User agrees to comply with all applicable laws and agrees not to take any action that would compromise the security or viability of this Website. The Company may terminate User’s access to this Website at any time for any reason. The terms hereunder regarding Accuracy of Information and Third Party Rights shall survive termination.

Website Content and Copyright

This Website is the property of Counterpoint and is protected by international copyright law and conventions. We grant users the right to access and use the Website, so long as such use is for internal information purposes, and User does not alter, copy, disseminate, redistribute or republish any content or feature of this Website. User acknowledges that access to and use of this Website is subject to these TERMS OF USE and any expanded access or use must be approved in writing by the Company.
– Passwords are for user’s individual use
– Passwords may not be shared with others
– Users may not store documents in shared folders.
– Users may not redistribute documents to non-users unless otherwise stated in their contract terms.

Changes or Updates to the Website

The Company reserves the right to change, update or discontinue any aspect of this Website at any time without notice. Your continued use of the Website after any such change constitutes your agreement to these TERMS OF USE, as modified.
Accuracy of Information: While the information contained on this Website has been obtained from sources believed to be reliable, We disclaims all warranties as to the accuracy, completeness or adequacy of such information. User assumes sole responsibility for the use it makes of this Website to achieve his/her intended results.

Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.